Bowness On Windermere residential property owned on a long lease is a wasting asset as the leaseholder only owns the property for a period of years.
It is generally accepted that a property with over one hundred years remaining is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Engaging our service will provide you enhanced control over the value of your Bowness On Windermere leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Half a year ago Kyle, started to get close to the 80-year threshold with the lease on his garden flat in Bowness On Windermere. Having bought his flat two decades ago, the lease term was of little bearing. As luck would have it, he realised he would imminently be paying an escalated premium for a lease extension. Kyle was able to extend his lease just under the wire in January. Kyle and the landlord subsequently agreed on the final figure of £6,000 . If the lease had slipped to less than 80 years, the figure would have become more exhorbitant by a minimum £850.
In 2010 we were phoned by Mr Noah Rose who, having was assigned a lease of a newly refurbished flat in Bowness On Windermere in June 2000. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year extension to my lease. Comparable properties in Bowness On Windermere with 100 year plus lease were valued around £200,000. The mid-range ground rent payable was £50 collected quarterly. The lease ended in 2102. Considering the 77 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 not including professional charges.
In 2010 we were approached by Mrs Isobel Clark who, having moved into a recently refurbished flat in Bowness On Windermere in August 2006. We are asked if we could shed any light on how much (roughly) price would likely be to extend the lease by an additional years. Comparable residencies in Bowness On Windermere with 100 year plus lease were in the region of £260,200. The average amount of ground rent was £65 collected per annum. The lease terminated on 16 July 2091. Having 66 years outstanding we calculated the compensation to the landlord for the lease extension to be within £16,200 and £18,600 plus costs.